The New Mexico Office of Superintendent of Insurance (SOI) issued Bulletin 2016-019 published August 22, 2016 and updated September 15, 2016 announcing that all life and health insurance forms must be brought into compliance with the NM Insurance Code (NMSA 1978 § 59A-1-1 et seq) and all related Bulletins no later than January 1, 2017.
The Bulletin addresses 3 key components:
- These requirements apply to policies approved prior to the OSI’s implementation of SERFF as well as after, and certificates delivered or issued for delivery in NM, even when approved by another state (i.e. NM exerts extraterritorial authority over out of state group filings)
- Matrix filings must be refiled as non- matrix filings; and
- “Forms that have been revised but not approved, that have been revised "administratively," or that have otherwise been modified outside of the formal approval system are not approved and are therefore non-compliant. [Emphasis added]
Basically it appears the OSI is concerned that there are non-compliant forms being issued in their state and are requiring all forms be brought into compliance. If there are any changes necessary to any forms in order to be in compliance they must be filed for approval.
The Office has stated it is not sufficient to have filed the forms by January 1, 2017; they must be approved by January 1, 2017. Any exemptions requests will be denied.
The OSI states clearly that “Any person issuing policies, certificates, or soliciting business in any manner [Emphasis added] based on non-compliant form filings is acting in direct violation of the Insurance Code. Violations of the Insurance Code are subject to regulatory enforcement and may result in penalties and fines.”
The OSI has not indicated if they have added staff in order to review and approve all submitted forms by January 1, 2017. The Bulletin merely calls for compliance by January 1, 2017.
To that end, MCR suggests that all amendatory filings are made as soon as possible in order to safeguard your product availability for the New Year.
MCR stands ready to assist you. We can help ensure that your forms are compliant and manage the filing process via SERFF so that your compliance unit can continue to work on other sales and market driven directives.
NMSA 1978 section 59a-1-1 et seq.
NMAC Title 13